GURUFOCUS.COM » STOCK LIST » USA » NAS » Open Text Corp (NAS:OTEX) » Definitions » PEG Ratio
Switch to:

Open Text PEG Ratio

: 2.17 (As of Today)
View and export this data going back to 1996. Start your Free Trial
PE Ratio without NRI / 5-Year EBITDA Growth Rate*

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, Open Text's PE Ratio without NRI is 26.88. Open Text's 5-Year EBITDA growth rate is 12.40%. Therefore, Open Text's PEG Ratio for today is 2.17.

* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


The historical rank and industry rank for Open Text's PEG Ratio or its related term are showing as below:

OTEX' s PEG Ratio Range Over the Past 10 Years
Min: 0.25   Med: 2.04   Max: 9.68
Current: 1.88


During the past 13 years, Open Text's highest PEG Ratio was 9.68. The lowest was 0.25. And the median was 2.04.


OTEX's PEG Ratio is ranked worse than
58.71% of 729 companies
in the Software industry
Industry Median: 1.46 vs OTEX: 1.88

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


Open Text PEG Ratio Historical Data

The historical data trend for Open Text's PEG Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Open Text Annual Data
Trend Jun13 Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22
PEG Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.72 2.12 3.17 3.43 -

Open Text Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
PEG Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.43 3.19 2.28 2.33 -

Competitive Comparison

For the Software - Application subindustry, Open Text's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Open Text PEG Ratio Distribution

For the Software industry and Technology sector, Open Text's PEG Ratio distribution charts can be found below:

* The bar in red indicates where Open Text's PEG Ratio falls into.



Open Text PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

Open Text's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=26.876712328767/12.40
=2.17

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


Open Text  (NAS:OTEX) PEG Ratio Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Open Text PEG Ratio Related Terms

Thank you for viewing the detailed overview of Open Text's PEG Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Open Text Business Description

Open Text logo
Traded in Other Exchanges
Address
275 Frank Tompa Drive, Waterloo, ON, CAN, N2L 0A1
Open Text Corp grew out of a technology project involving the Oxford English Dictionary at Canada's University of Waterloo in the mid-1980s. Its software allows clients to archive, aggregate, retrieve, and search unstructured information (such as documents, e-mail, presentations). The company is based in Ontario, Canada.

Open Text Headlines

Other Sources

OpenText Corp. Updates 1 Key Risk Factor

By tipranks.com 2022-02-09

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)